Embattled Housing Development Agency placed under administration

CAPE TOWN - Human Settlements Minister Nomaindia Mfeketo has placed the Housing Development Agency (HDA) under administration as a result of poor performance in reaching targets, her office said on Thursday.

The HDA is the government agency responsible for identifying, acquiring and developing land and buildings for state housing. It also manages projects on behalf of provinces and municipalities.

Human Settlements said that despite providing it with technical support and significant grant transfers from the department, provinces and municipalities, the HDA was unable to produce concrete outcomes.

"The result has been poor performance in relation to the achievement of targets and outputs in the Catalytic Projects Programme, the National Upgrading Support Programme, Public Sector Land and Property Development Programme and the Human Settlements Programme Interventions in Distressed Mining Towns," the statement said.

"Things came to a head last week when the board of the institution decided to suspend the chief executive officer and three members of the executive committee pending a forensic investigation.

"The allegations being investigated are considered to be serious," the department said